Have a nice weekend, folks!

Though most of the travails of Kingfisher are Chairman Vijay Mallya’s own creation, there are a few, like irrational fuel taxes and airport charges, which the government also has to take the blame for.

Despite this abundance of troubles in Indian aviation, Tony is positive about the sector. He thinks he can change people’s lives here.

Folks, India's aviation industry, which has seen continued losses due to high operating costs and regulatory uncertainty, was opened to foreign investors in September last year.

Jet Airways, SpiceJet, IndiGo and Air India are fighting a declining passenger traffic and in their bid to keep their “head above water”, as explained in this Firstpost analysis, are engaged in a “new round of bloodletting”.

This is just one of the bad news from Indian aviation. The government has not made much headway in making its aviation policy friendly for the companies.

Almost dead Kingfisher Airlines itself is a grim reminder of the troubles in the sector.

Malaysian long-haul budget carrier AirAsia X announced plans to scrap unprofitable routes to Europe and India as it prepares for a planned flotation, citing weak demand and a row over European Union emissions charges.

The decision to scale back will affect flights to Mumbai from January, while services to New Delhi, London and Paris will cease in March.

Investors have short memory! Bull Trap closing again today? Hmmmmm!!

Folks, Malaysian no-frills carrier Airasia’s announcement of its Indian joint venture comes at a time when airline companies in India are engaged in a fierce fare war.

Is this just coincidental? Well folks, there is no evidence to prove otherwise.

Latest on Share Price Performance: 22/02/2013

01 Month : High 2.840 (24-Jan-13) / Low 2.570 (21-Feb-13)
03 Months: High 2.990 (09-Jan-12) / Low 2.490 (21-Dec-12)
12 Months: High 3.850 (06-Jul-12) / Low 2.490 (21-Dec-12)

What seems low and cheap generally goes lower. Careful now! friday today, GE13, Q4E announcement & external markets performance! Heheheh!!

Sucker Rally, Bull Trap, or Dead Cat Bounce?

A false signal indicating that a declining trend in a stock or index has reversed and is heading upwards when, in fact, the security will continue to decline?

A temporary recovery from a prolonged decline or bear market, followed by the continuation of the downtrend? Heheheheheheheh!!

Latest Shareholder's Interest dated 22/02/2013 09000hrs

As of 22/02/2013 - Total held by EPF: 214,143,500 = 7.70%
As of 25/09/2012 - Total held by EPF: 273,585,900 units = 9.84%

As 0f 22/02/2013 - Total held by Tune: 710,931,282 units = 25.57%
As of 24/09/2012 - Total held by Tune: 642,901,282 units = 23.14%

Folks, Tune Air has acquired a total of 44,080,000 units at an average price of 2.904 costing Rm128 million from 15 Oct 2012 till 29/01/2013.

Careful now folks as more announcement on share disposal coming! Worst still GE coming & KLCI may slip to 1,450 ...... Hahahahahahaha!!

Budget carrier SpiceJet, India's No. 4 operator by market share, runs a business model similar to the one proposed by the AirAsia venture.

Last year, AirAsia held talks to buy a stake in SpiceJet, a senior government source had said.

AirAsia flies to four south Indian cities and Kolkata in addition to 20 countries across Asia and has indicated it plans to slow its overall expansion elsewhere.

AirAsia X, the long-haul carrier founded by Fernandes, last year pulled out of India due to poor demand and profitability.

India's two biggest cities, Mumbai and Delhi, were taken off the AirAsia network last year due to a failure to access local distribution lines.

Investors have short memory!

Folks, the world is entering its fifth year since the global financial crisis and world GDP growth remains below historic trend rates. In addition, fuel prices look set to remain in a historically high range.

Total passenger traffic has recovered well from the global financial crisis and has seen two years of growth close to long term trend rates, although IATA sees this slowing in 2013.

Passenger yields are forecast to flatten off after three years of growth reflecting modest capacity expansion, while cargo yields are forecast to fall once again. So folks, when buying shares, ask yourself, would you buy the whole company? Wakakakak!!

Asia stocks tumbled on Thursday after minutes from the latest Federal Reserve policy meeting stoked concerns that central-bank policy-tightening moves will reduce the global liquidity that has supported stocks in recent months.

The Fed, along with other global central banks, has provided massive amounts of liquidity to markets since the onset of the global financial crisis.

For KLCI beside the above negative news & the coming GE factor, investors still reluctant to take a heavy position despite the country's better than expected 2012 economic growth results announced yesterday. Is this the beginning of a BEAR market?

Folks, Asia stocks tumbled on Thursday after minutes from the latest Federal Reserve policy meeting.

Asia Dow : 2998.58 -47.75 1.57%
Nikkei225:11308.92 -159.36 1.39%
HangSeng :22897.63 -409.78 1.76%
Shanghai : 2331.61 -65.57 2.74%
Au Sensex:19533.17 -109.58 0.56%
Singapore: 3290.79 -18.10 0.55%

Tomorrow friday that is the last day of trading for the week. Careful now! More selling pressure, folks!

Folks, the main weakness noticeable of Airasia is the high operating cost of purchasing new aircraft, using pricing mechanism strategy to acquire new customers.

The main threats are from competitors who are offering the same low cost price strategy and expansion of their products and services in the Asian region.

Another factor worthy of mentioning is the continuous surge of the cost of aviation fuel which is threatening to cripple the activities of domestic and internal airlines and undermine their growth.

AirAsia PH says expansion proves it's staying despite losses. AirAsia Philippines said it plans to increase its fleet from 2 to 5 Airbus A320s this year and add frequencies and destinations, reacting to an analysis that said one of the three smaller low-cost carriers operating in the Philippines could close this year.

Consolidation is likely to hit the Philippines in 2013," The Sydney-based Center for Aviation -- known as CAPA -- said yesterday. "There are now five LCCs competing in the domestic market, which is clearly too many. Over-capacity and irrational competition already resulted in losses throughout 2012 at all Philippine carriers except Cebu Pacific."

Will Airasia India be any different?

Ever wonder why have the local & foreign funds reduced their exposure in AA?

If you knew that hope and despair were paths to the same destination, which would you choose?

Hahahahahahahahah!!

Adding to the misery on KLCI:

Hang Seng Index drops 1.3% in opening minutes while Nikkei Composite sinks 1.3%. Careful now!

Now folks just pray that the 4QE is better than previous year. Market sentiment is on the downtrend due to the coming GE. Any bad news on 4QE is like spraying fuel to a burning house!

But wait, a hugh deliveries of A320 in the 4QE. With that deliveries meaning more costs. Careful now, folks! What seems low and cheap generally goes lower. Wakakakakakakakakakak!!

18/10/12: AirAsia (AirAsia Japan) A320 - 1 unit
30/10/12: ICBC (AirAsia) A320 - 1 unit
10/11/12: AirAsia A320 - 1 unit
10/11/12: AirAsia (Thai AirAsia) A320 - 1 unit
14/11/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
14/12/12: AirAsia A320 - 1 unit
21/12/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
22/12/12: AirAsia A320 - 2 units*
29/12/12: AirAsia A320 - 1 unit

Latest on Share Price Performance: 21/02/2013

01 Month : High 2.820 (22-Jan-13) / Low 2.590 (20-Feb-13)
03 Months: High 2.990 (09-Jan-12) / Low 2.490 (21-Dec-12)
12 Months: High 3.850 (06-Jul-12) / Low 2.490 (21-Dec-12)

Will it test the support level at a year low Rm2.49? Another round of aggressive selling coming? Only time will tell, folks! GE coming, folks! Runnnnnnn ... Hahahahahahahahah!!

Latest Shareholder's Interest dated 21/02/2013 09000hrs

As of 21/02/2013 - Total held by EPF: 215,150,500 = 7.74%
As of 25/09/2012 - Total held by EPF: 273,585,900 units = 9.84%

As 0f 21/02/2013 - Total held by Tune: 710,931,282 units = 25.57%
As of 24/09/2012 - Total held by Tune: 642,901,282 units = 23.14%

Folks, Tune Air has acquired a total of 44,080,000 units at an average price of 2.904 costing Rm128 million from 15 Oct 2012 till 29/01/2013.

Latest EPF on 15/2/13 disposed 2,922,900 units while WELLINGTON MANAGEMENT COMPANY 4,263,392 units on 13/2/13.

Careful now folks as more announcement on share disposal coming! Worst still GE coming & KLCI may slip to 1,450 ...... Hahahahahahaha!!

According to Indian regulations, a carrier must complete five years of domestic operations before it is eligible to launch overseas flights.

Indian airport regulator AERA (Airports Economic Regulatory Authority) approved a 154% increase in aeronautical charges for airlines operating to the city’s airport. The aeronautical charges are for landing, parking and fuel supplies to the airlines.

Airlines have been complaining about the high operating costs at Indian airports. Low cost carrier AirAsia has scaled back an ambitious expansion plan in India, citing the high airport charges.

The two companies operating Mumbai and Delhi airports are incurring losses owing massive loans that they had to take to expand the airports. The refurbished Mumbai airport will be opened in 2014.

The regulator has also allowed MIAL to charge penalties to private jet owners who overstay at the airport.

Folks, announcement on the AA India involve a number of risks and uncertainties and are subject to change at any time. In the event such risks or uncertainties materialize, Airasia’s results could be materially affected.

The risks and uncertainties include, but are not limited to, risks associated with the inherent uncertainty of airline travel, seasonality issues, volatile jet fuel prices, world terrorism, perceived safe destination for travel, Government regulation changes and approval, including but not limited to the expected landing
rights into new destinations.

U.S. oil futures edged higher in choppy electronic trade Wednesday as investors looked ahead to weekly inventory reports.

So what the future for Jet Fuel? Up up up or stable? Hahahahahahah!!

Careful now, folks! What seems low and cheap generally goes lower.

Wakakakakakakakakakak!!

New terminals, tarmac and planes are on tap as the Association of Southeast Asian Nations lowers barriers to air traffic within the 10-nation economic bloc.

That is generating new flights to serve a booming consumer class. Most Asean members already have implemented the new open-skies policy.

But folks, Indonesia, the biggest market, says it needs more time to get ready. Hmmmmmmmmmm!! So folks, if you are not willing to own a stock for 10 years, do not even think about owning it for 10 minutes.

Folks, Southeast Asia's airlines are on an expansion spree to take advantage of a new regional open-skies policy.

But Indonesia is resisting opening its airspace, putting a crimp in plans to add regional flights.

So how now?

Folks, how your share doing? Anybody bought from historical high at Rm4.00 down till rm2.80?

Where is Mr. Millionaire? So quiet without him here. Heheheheheheheheheheh!!

Only when the tide goes out do you discover who's been swimming naked!!

Folks, aircraft deliveries during the 4QE12. The big number of deliveries, free seat offered plus the new staff & operation costs during the 4QE, will Airasia be making better profit than previous 2011 4QE?

18/10/12: AirAsia (AirAsia Japan) A320 - 1 unit
30/10/12: ICBC (AirAsia) A320 - 1 unit
10/11/12: AirAsia A320 - 1 unit
10/11/12: AirAsia (Thai AirAsia) A320 - 1 unit
14/11/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
14/12/12: AirAsia A320 - 1 unit
21/12/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
22/12/12: AirAsia A320 - 2 units*
29/12/12: AirAsia A320 - 1 unit


Hahahahahaha....try to compare deliveries on others quarter?

Aircraft Deliveries During the 3Q
1. 17/09/12: AirAsia A320 - 1 unit
2. 27/09/12: AirAsia (Thai AirAsia) A320 - 1 unit
3. 12/07/12: Airasia (AIrasia Japan) A320 - 1 unit
4. 19/07/12: Airasia (Indonesia Airasia) A320 - 1 unit

Aircraft Deliveries for the 2QE
1. 07/06/12: AirAsia (AirAsia Japan A320 - 1 unit
2. 17/05/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
3. 25/05/12: AirAsia A320 - 1 unit


Aircraft Deliveries for the 1QE
1. 24/01/12: AirAsia A320 1 unit
2. 26/01/12: AirAsia A320 1 unit

Happy Investing, Folks!

Latest on Share Price Performance: 19/02/2013

01 Month : High 2.970 (18-Jan-13) / Low 2.620 (08-Feb-13)
03 Months: High 2.990 (09-Jan-12) / Low 2.490 (21-Dec-12)
12 Months: High 3.850 (06-Jul-12) / Low 2.490 (21-Dec-12)

Will it test the support level at a year low Rm2.49? Another round of aggressive selling coming? Only time will tell, folks! Hahahahahahahahah!!

Bank Negara Mslaysia could raise interest rates in the second half of this year.

So folks, another negative factor as financing will be getting expensive if the rate is raised!

The listing date of Airasia X, is uncertain now amid rumours that it could be delayed again.

AirAsia X plans to use proceeds raised from the IPO to repay bank loans and for capital expenditures, which include purchases of equipment (aircraft, etc) and spare parts for aircraft.

Well folks, as planned there should be 2 listing (Tune Ins & AAX). Look like there going to be only one one-time gain from Tune Insurance listing for this 1QE13 since Airasia X listing has been delayed again.

LCCs will be impacted as they rely more on transit traffic. Transit passengers account for about 30% of Singapore-KL passengers on AA. 30% of its passengers between Singapore and Kuala Lumpur connect at Kuala Lumpur.

A majority of AA’s connecting passengers from Singapore connect at KLIA onto medium and long-haul flights operated by sister carrier Airasia X.

Folks, there is particularly a large volume of passengers flying Airasia X between Australia and Singapore via Kuala Lumpur.

Folks, LCC will be most impacted as they now control 60% of the Singapore-KL market. AA currently has a leading 30% share of capacity between the two cities, Jetstar Asia and Tiger Airways have 19% and 10% shares, respectively.

Malaysia, Singapore agree to high-speed rail link which will cut travel time between the two capitals to 90 minutes.

Folks, Airasia & other airlines will suffer greatly from the loss of business from the extremely very busy KL-Singapore air corridor. If you can travel door to door from KL to S'pore in 90 minutes, bye bye air travel to Singapore.

Latest Shareholder's Interest dated 20/02/2013 0900hrs

As of 20/02/2013 - Total held by EPF: 212,753,500 units = 7.84%
As of 25/09/2012 - Total held by EPF: 273,585,900 units = 9.84%

As 0f 20/02/2013 - Total held by Tune: 710,931,282 units = 25.57%
As of 24/09/2012 - Total held by Tune: 642,901,282 units = 23.14%

Folks, Tune Air has acquired a total of 44,080,000 units at an average price of 2.904 costing Rm128 million from 15 Oct 2012 till 29/01/2013.

What seems too high and risky to the majority generally goes higher and what seems low and cheap generally goes lower. Heheheheheh!!

13/02/2013 TP: 3.39 by OSK
07/02/2013 TP: 3.45 by MIDF

Wonder why there no support from local & foreign funds? If you knew that hope and despair were paths to the same destination, which would you choose?

Hahahahahahahahahahahahahah ....... Happy investing, folks!

Folks, the size of Airasia’s order and no doubt some flexibility on timing, combined with how quickly it decides to refresh its fleet, combined with underlying market conditions (such as fuel prices), the pace of further liberalisation, and additional joint venture decisions, will determine how quickly AirAsia actually grows.

Remember folks, during the 4Q some 10 units of A320 were delivered by Airbus.

18/10/12: AirAsia (AirAsia Japan) A320 - 1 unit
30/10/12: ICBC (AirAsia) A320 - 1 unit
10/11/12: AirAsia A320 - 1 unit
10/11/12: AirAsia (Thai AirAsia) A320 - 1 unit
14/11/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
14/12/12: AirAsia A320 - 1 unit
21/12/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
22/12/12: AirAsia A320 - 2 units*
29/12/12: AirAsia A320 - 1 unit

Will the aircraft deliveries affect the fourth quarter earnings much? Wait for the announcement on the 26/2/13. Hahahahahahahah!!

Latest on Share Price Performance: 18/02/2013

01 Month : High 2.970 (18-Jan-13) / Low 2.620 (08-Feb-13)
03 Months: High 2.990 (09-Jan-12) / Low 2.490 (21-Dec-12)
12 Months: High 3.850 (06-Jul-12) / Low 2.490 (21-Dec-12)

Just a reminder folks, a month low at Rm2.62! Interesting!!

The local & foreign funds are not only slowly but surely selling this counter. Is this an indication that the 4QE will be lower from previous year?

Well folks, only time will tell! Hahahahahahahahah!!

Will you fly Airasia is you can have this!! Heheheheheheh!!

The low-cost carrier is perhaps best known for the sensation it caused when a video of bikini-clad hostesses surfaced on YouTube. However, smart strategy rather than marketing gimmicks has been responsible for its business success.

Since its debut in Vietnam just a year ago, VietJet Air now operates nine domestic routes and is looking at Asean as well as North Asian destinations such as South Korea and Taiwan, says Pritam Singh, vice-president for business development.

It reached a milestone on Feb 10 by staging its first international flight, to Bangkok from Ho Chi Minh City. It’s now considering a Hanoi-Bangkok service and others from Vietnam to Asean countries.

“We plan to have three international routes this year,” said Mr Singh, noting that six destinations were being considered, among them Kuala Lumpur, Singapore, Busan and Seoul in South Korea, and Taipei.

See the picture & read here: http://www.bangkokpost.com/breakingnews/336491/vietjet-air-ready-to-soar-into-regional-skies

Corporate earnings: Airasia Q4E will be on 26/Feb/2013

Will it be a smooth flight or a turbulence one? So folks, for your safety fasten up your seat belts!

Hahahahahahahahaha!!

Folks, Airasia passenger traffic up due to "Free Seat"? A war against Malindo? Wow...good marketing strategy!

1. Malaysian low-cost carrier AirAsia posted a high load factor of 82 per cent in the quarter ended December 31, 2012. Total passengers carried were approximately 5.2 million, a seven per cent year-on-year increase.

2. AirAsia is offering up to 200,000 free seats to popular destinations including Bali, Singapore, Krabi and Hatyai starting today.

The promotion, which is only valid for a week until Sunday, also includes local destinations such Johor Baru and Kota Baru.

Guests can book these free seats, which will be available for one-way trip, excluding the fuel surcharge and airport tax, for the five-month travel period of between March 1 and July 13.

Those who book now can also get tickets from as low as 39 ringgit (US$12) one-way to destinations such as Terengganu, Alor Setar, Kota Kinabalu, Bangkok, Jakarta and Hong Kong.

These promotional fares are also valid during the same booking and travel period.

..........Correct me if I'm wrong, folks! Heheheheheheh~~~!!

Passengers on AirAsia's flight AK1203 from Kuala Lumpur to Cochin in India literally sat on the edge of their seats when one of them turned aggressive and tried to open the rear cabin door in mid-air late Saturday night.

Read more here: http://www.malaysiandigest.com/news/36-local2/258571-terror-on-airasia-flight.html?q=news/36-local2/258571-terror-on-airasia-flight.html

Latest Shareholder's Interest dated 19/02/2013 1000hrs

As of 19/02/2013 - Total held by EPF: 212,753,500 units = 7.92%
As of 25/09/2012 - Total held by EPF: 273,585,900 units = 9.84%

As 0f 19/02/2013 - Total held by Tune: 710,931,282 units = 25.57%
As of 24/09/2012 - Total held by Tune: 642,901,282 units = 23.14%

Folks, Tune Air has acquired a total of 44,080,000 units at an average price of 2.904 costing Rm128 million from 15 Oct 2012 till 29/01/2013.

Publication Date : 18-02-2013

AirAsia is offering up to 200,000 FREE SEATS to popular destinations including Bali, Singapore, Krabi and Hatyai starting today.

Meanwhile, AirAsia Group’s long-haul affiliate carrier, AirAsia X, is also offering fares as low as 279 ringgit one-way to destinations in Australia, Taiwan, China, South Korea and Japan.

Ever wonder why offering FREE SEATS & discounted fares? Yes....Good for customer.....But for Airasia?

Hahahahahahaha.....Only time will tell! Happy Investing, folks!

Folks, what will it be for the 4QE12? Last 4QE11 Profit/(loss) for the period was at Rm135.6 million.

Aircraft delivered during the 4Q12!

18/10/12: AirAsia (AirAsia Japan) A320 - 1 unit
30/10/12: ICBC (AirAsia) A320 - 1 unit
10/11/12: AirAsia A320 - 1 unit
10/11/12: AirAsia (Thai AirAsia) A320 - 1 unit
14/11/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
14/12/12: AirAsia A320 - 1 unit
21/12/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
22/12/12: AirAsia A320 - 2 units*
29/12/12: AirAsia A320 - 1 unit

Happy Investing, folks!

"We have just bought 100 planes which makes a total of 475. To meet the amazing demand in Asia," AirAsia owner Tony Fernandes wrote on Twitter.

"One day, Air Asia would be as well known as Coca Cola. That would be cool. That is a massive ask," he said.

Fernandes said that he was buying the new Airbus planes mainly to grow his fleet, rather than to replace old aircraft.

He added that the company has no plans to look at a rights issue, saying that the transaction could be funded through cash. He also said the company is in a position to offer a dividend but gave no more detail.

Happy Investing, folks!!

Folks, EV/EBITDA for Air Asia at 11.5x is expensive, given the inherent risks of potential fuel-hedging derivative contract losses and higher funding costs to finance capital expenditures for the next five years.

Latest on Share Price Performance: 18/02/2013 - 1230hrs

01 Month : High 2.970 (18-Jan-13) / Low 2.620 (08-Feb-13)
03 Months: High 2.990 (09-Jan-12) / Low 2.490 (21-Dec-12)
12 Months: High 3.850 (06-Jul-12) / Low 2.490 (21-Dec-12)

Happy Investing, folks!

Aircraft Deliveries for the 2QE:-
1. 07/06/12: AirAsia (AirAsia Japan A320 - 1 unit
2. 17/05/12: AirAsia (Indonesia AirAsia) A320 - 1 unit
3. 25/05/12: AirAsia A320 - 1 unit

Profit for 1QE:-
Rm 1,217,006 (2012) / Rm145,033 (2011)

AirAsia said its second-quarter net profit surged more than 10 times from a year earlier due to a ONE-TIME GAIN with the listing of Asia Thailand.

Net profit for Asia's largest budget carrier for the quarter ending June 30 was 1.21 billion ringgit compared with 145 million a year earlier, the company said in a filing to the Kuala Lumpur stock exchange.

It posted revenue of 1.18 billion ringgit, up 9.3 percent, from 1.08 billion.

Folks, revenue for 1QE12 was at 1.17 billion while 2QE12 at 1.18 billion. Only up by 10 million.

Also folks, AirAsia made a net operating profit of 130.94 million Malaysian ringgit, excluding one-off items, in the second quarter this year, DOWN slightly from the same quarter last year.

Happy Investing, folks!